Recently, the road transport ministry submitted a Voluntary Vehicle Fleet Modernisation (V-VMP) concept which proposed to get around 28 million vehicles registered before March 31, 2005 and below BS IV standards, off the road. However, the plan has come to a halt as the revenue department has turned down its proposal to offer an excise rebate to the owners who voluntarily surrender their old vehicles.

Under this concept, the ministry had proposed a discount on excise of up to 50 per cent while buying a new car (depending on the category of...